Student Declaration | Ghulam Rasool Registration No. 19-ARID-§32_ hereby declare that by attempting the paper for the course _— EL = Fh = | will not be involved in any kind of cheatiny/copying/plagiariziny’in solving the short questions based paper of Mid ‘Term Examination Fall 2020, | take full responsibility of my conduct. If | found involved in any kind of such activity of cheating/copying/plagiarizing, then Institute reserves the right to take any disciplinary action agiSAMIWAL 52087441 Hoa, Sahil Paiston, Tok 49210) 40422 3331-2 ABR: +920) 335 111 6383 Webs werwbaraninsstute sunk [nail infoabaraninsttuteedu pe Mid Exam / Fall 2020 (Paper Duration 24 hours) Course No.: AEC-741 Course Title: Mathematical Economics Total Marks: 18 Date of Exam: 04-12-2020 Degree: M.Sc. Mathematics ‘Semester: IV Section: A Marks: Q. No. 1 2 3) 4 5|/6)7 8) 9] 10 Obtained’ Total Marks Marks Obtained Obtained Marks in Words: Name of the teacher: Mazhar Javed Who taught the course: Signature of teacher / Examiner: To be filled by Student egistration No.: ..19-Arid-832........ Name:Ghulam Rasool... Answer the following questions. Qi. A). Given the interindustry transaction demand table in millions of dollars below, find the matrix of technical coefficients. Sector of Destination inal ‘otal Demand | Demand Coal Iron 160, 600SSAMIWAL 520 8-7, Jil Hoad,Sahiwal Pitan “Tek 497 (0) 40.422 3331-2 [PABX: +92 (0) 335 111 8383 ‘Webs wiywbaraninssureec.pk [Ema infogbaraninsttuteedu pe Mid Exam / Fall 2020 (Paper Duration 24 hours) Course No.: AEC-741 Course Title: Mathematical Economics Total Marks: 18 Date of Exam: 04-12-2020 Degree: M.Sc. Mathematics ‘Semester: IV Section: A Marks: Q.No. 1 2 a)/4)5 6 7 8 9 | 10 ‘Obtained/ Total Marks Marks Obtained Obtained Marks in Words: Name of the teacher: Mazhar Javed Who taught the course: Signature of teacher / Examiner: To be filled by Student {egistration No.: ..19-Arid-§32.......Name:Ghulam Raso0l..... Answer the following questions. Q.1. A). Given the interindustry transaction demand table in millions of dollars below, find the matrix of technical coefficients. Sector of Destination ‘inal ‘otal Demand | Demand Coal tron 160 600[ vausAtted |] 20] |? | 0 ) | 1 - [| ] Gross 600 600 400 1000 = Production The technical coefficient ay expresses that j” industry requires inputs of some dollars’ worth from i" industry to produce a good of $1 worth. Thus ao: that steel industry requires inputs of some dollars’ worth from coal industry to produce a good of $1 worth. a). Prove that product of matrix of coefficients A and total demand B, equals the matrix of intermediate demand X. and also prove that X-B= total Input demand vector. b). Check your answer of X by (IA)" = X (02+ 01 = 03) B). LetA =1-X(XX)"X’ (a) Must A be square? Must (XX) be square? Must X be square? (b). Show that A is an idempotent matrix. (03) Qa2 A). If the foreign sector is added to the model and there is positive marginal propensity to import (2), find (a) the reduced form of national income, (b) the equilibrium of national income, and (c) the effect of multiplier on national income. (03) Y=C+1+G+(K-Z) , C=C,4bY, 222,427 Where I-lo=90, G=Go=65, X=Ko=80, Co=70, Zo=40, b=0.90, z=0.15 B). Write a Comprehensive note on Leontief input-output model with an appropriate hypothetical example. (03) a3. A). Differentiate partial market equilibrium and general market equilibrium. (03) B). Mr. Crazy sells 700 CDs 400 cassettes and 200 CD players each week. The selling price of CD is $4, Cassettes is $6 and CD players is $150. The cost to the shop for a CD is $3.25, for a Cassette is $4.75 and for a CD player is $125. a). Find the profit by using total revenues and total costs approach.19-frek- S82 Cr Mow HA ~ vfs mn Cnt a medi Jt Given Fechntedl Medoe 80 2eo Ho 230 Behe 2 ee fee 2340 2 a in ; a ) 22ahe iho Foye 4 Yor 0 ° tee So Nhe Wh, "Ye 2433 4033 6.275 2-23 . 4333 a aps : cd Ae fosy SO Ons are bu 7 eo y, X* | yoo 0 6.233 ee : oe Sie ee By We fae te Show Pedeet a bel donangl B anu ae SL cooffeint A nd. malo, fotetptediete ily tnd / Pande Pa ~ Z XA = foal wn AX =]? 33 e083 cans ons boo 439. ae 6-367 aps P-02F aay boo | 4 $9.64 ele 4-233 aby aazy} | $00 4oe ee the 599-98 Ax z i) bee o X-f the "Df dee le l] *fyeol-] nel _ Joo 2 XP = bbl . hbo hee | ttl Aoreypel, f. 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